While this consumer products company missed earnings estimates by a penny—sending its shares down—it improved earnings by 3%, year-over-year, and continued to increase its gross margins.
AptarGroup, Inc. (ATR)
From Richard C. Young’s Intelligence Report
There are all kinds of innovation, and perhaps the most profitable for big companies is finding new ways of using existing technology. For instance, McDonald’s uses the same equipment to cook sausages and burgers. Adding sausages to the menu was affordable because McDonald’s locations could already cook them. This is incremental innovation.
Similarly, AptarGroup, Inc. (ATR) has repurposed Serumony—an airless skin care products dispensing technology—for use as a wound care device, creating a new business, diversifying AptarGroup’s sector exposure, and generating new profits. My price chart shows AptarGroup reaching new all-time highs. This stealth consumer staples business is perfect for your portfolio today.
Richard C. Young, Richard C. Young’s Intelligence Report, www.intelligencereport.com, 800-301-8968, May 2016